About This Chapter
Introduction to Personal Financial Planning - About This Chapter
The text and video lessons in this chapter provide an introduction to basic personal financial planning. Study these lessons to learn how to plan for taxes and develop an entire financial schedule to more efficiently manage cash, credit cards and everything in between. After watching these lessons, you'll have a firm understanding of:
- How to develop a personal budget
- How to create a cash flow statement
- Why spending habits should be examined
- What personal assets and liabilities are
- What to look for in the future
|Introduction to Personal Finance||Study the four basic concepts associated with personal finance.|
|Personal Financial Advisors & Financial Decision Making||Learn basic financial terminology and the role of an financial advisor.|
|What is Economics? - Definition & Types||Look at different kinds of economics.|
|Microeconomic Resources: Scarcity & Utility||Study the roles of scarcity and utility in economics.|
|Opportunity Cost: Definition & Real World Examples||Examine the opportunity cost principle and how it can be used to make decisios.|
|How to Calculate Opportunity Cost||See how to properly calculate opportunity cost between two possibilities.|
|Personal Finance Planning: Taxes, Assets & Investing||Explore the elements of a budget and see how taxes, net worth, saving, and investing impact them.|
|Consumer Skills & Personal Finance Planning||See how recognizing income, setting realistic goals, tracking expenses and sticking to a budget are part of financial planning.|
|Institutions of the U.S. Banking System||Learn about the different banking systems.|
|Present and Future Value: Calculating the Time Value of Money||Explore investment values and see the formula for present value.|
1. Introduction to Personal Finance
While not all of us aspire to careers as accountants, a lack of interest in or understanding of basic financial concepts could cost you money. In this lesson, we'll examine four concepts associated with personal finance that will help you keep track of your money and may even help you build wealth.
2. Personal Financial Advisors & Financial Decision Making
In this lesson, we'll show the purpose of a personal financial advisor. You'll learn the importance of budgeting, maintaining good credit, and making smart financial decisions.
3. Opportunity Cost: Definition & Real World Examples
Learn the most important concept of economics through the use of real-world scenarios that highlight both the benefits and the costs of decisions. Opportunity cost is a simple yet powerful principle that reveals how to make the best economic decisions possible, and it explains why people make the choices they do.
4. How to Calculate Opportunity Cost
Learn the formula that reveals the economic value in any major choice between two possibilities. Every choice involves tradeoffs, and opportunity cost shows you how to measure these tradeoffs.
5. Personal Finance Planning: Taxes, Assets & Investing
In this lesson, we'll define a budget and then discuss how to construct a budget. You'll also learn about taxes, net worth, saving, and investing as it relates to securities and retirement. We'll also discuss asset protection and estate planning.
6. Consumer Skills & Personal Financial Planning
You've heard that 'money can't buy happiness,' and it's true. However, money concerns can certainly cause stress, which will make anyone unhappy. In this lesson, we'll learn about four personal financial skills to help avoid that stress.
7. Present and Future Value: Calculating the Time Value of Money
A central concept in business and finance is the time value of money. We will use easy to follow examples and calculate the present and future value of both sums of money and annuities.
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